Serving the state that currently has one of the nation’s lowest rates of homeownership, Oregon REALTORS® has been working tirelessly to lessen statewide legislative barriers to housing development. With great effort, and the support of a governor who prioritizes housing, it has made great strides in past years; but in one sector – new condominiums – there was still work to be done. This past session, HB 3746 promised to smooth the pathway for the development of this more accessible housing type; strategic advocacy by Oregon REALTORS® helped to make it law.
Condominium units are significantly under-represented in Oregon’s housing inventory, their development having been thwarted by the state’s mandated ten-year period during which a developer would be liable for construction defects. As Oregon REALTORS®’ Policy Director Brock Nation explains, in other western states, this period is typically only six or seven years. “HB 3746 was drafted to reduce risk for developers, in keeping with the neighboring norms in our region, but also included specific protections for consumers, such as requirements for three periodic special inspections.” For the benefit of both sides, it also provided an ‘opportunity for remedy’ to prevent lengthy and costly litigation, while allowing for eventual litigation if necessary.
Even before the session started, recalls Nation, the REALTORS® got wind that the governor and her team were excited about this bill to help revive condominium construction. It had a contentious history, however, so they weren’t taking anything for granted. “The bill was first introduced in 2019, and didn’t move. Then Habitat for Humanity reached out to us a year and a half ago, and with their support and the support of Oregon Homebuilders Association, we updated it and brought it back along with a suite of other pro-homeownership bills. Before long, we were joined by stakeholders like Zillow, local chambers of commerce, individual municipalities and the League of Oregon Cities, and a number of housing non-profits.”
The coalition relied on a study of construction defect liability laws conducted by the Common Sense Institute of Oregon, along with other key research, to craft messaging for a robust media campaign working with Soma Communications. It featured ads on Facebook and radio, with strategic geo-targeting around the capitol building. Testimony from constituents from across the state put faces on the need for increased condominium construction, and before both the House and Senate votes, the REALTORS® issued Calls for Action through Advocacy Everywhere, spurring members to press for the bill’s passage. The bill passed its initial hurdle in the House with a vote of 46-10.
Jenny Pakula, Chief Executive Officer of Oregon REALTORS®, notes that this success highlights the importance of the connections between NAR, Oregon REALTORS®, and the state legislature. “Sometimes it feels like we’re trying to turn the Titanic, but it is working: we’re getting legislation passed and will be capitalizing on the momentum and attention we’ve gained at the capitol to achieve even more for our housing goals. In the meantime, we’re looking forward to the development that can now happen as a result of our efforts, and we’ll keep looking for new groups to strengthen our coalition. We couldn’t do this without NAR.”
To learn more about how Oregon REALTORS® is working to promote legislative solutions to ease the housing crisis, contact Policy Director Brock Nation at bnation@oregonrealtors.org or 503.362.3645; or General Counsel and Director of Government Affairs Jeremy Rogers at jrogers@oregonrealtors.org.
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